- Oct
- 31
- 2007
- 6:16 PM
Three words: NYSE. Open. Free!
- By: Ray Pellecchia
- File Under: NYSE
No Halloween trick, either. Instead, starting tomorrow, the open is our treat.
No Halloween trick, either. Instead, starting tomorrow, the open is our treat.
"...bringing block-size orders back into contact with active traders, algorithms and retail flow."
Let me tell you a couple-three things, as they used to say on "The Sopranos." The first is new; the others, I'm playing catch-up on.
I wish I had an API to do the grunt part of posting links to the blog, which involves rather tedious cutting and pasting, and inserting bits of code. That would save me a few minutes I could put toward researching or writing something useful.
Or taking a quick nap.
John J. Phelan, Jr.: "I went down to the SEC and said the whole business of portfolio insurance and index arbitrage is a recipe for disaster. Some firms got grumpy as they were making money out of it. I commissioned a study in July 1987 and promised my board I would stop talking about it [portfolio insurance] as people who were using it and making a lot of money out of it did not like me talking about it."
Morituri te salutamus.
Leave it to Art Cashin -- a classic himself -- to come up with a classic reference in a historical language. Not up on your Latin? Translation and some Crash of 1987 reflections after the jump.
Plus: a hypothetical Week When NYSE Rolled Back Hybrid.
From a capacity of 95 messages per second to 64,000. And I hardly think we're going to stop there.
I drag myself onto the train this morning and look up at the poster-sized ad on the wall across from me, and it's a big picture of Yankee skipper (at least at the moment) Joe Torre...
Plus, a new high for the NY (index, that is); NYSE buys a parcel and settles in (in 1863); and have faith, Yankee fans -- here's proof that anything is possible.
This makes sense. Let the machines do the machine work and let the specialists tackle the tougher ones. Get the customers a faster opening overall.
The desired end result is that customers will be able to access a deeper pool of liquidity and thus get better trade executions.
A reader asks for clarification on whether such orders are seen as providing or taking liquidity. The answer is that we charge them a blended rate.
Closest to home (for me), I see that NYSE and NYSE Arca volume in cash equities continues to grow, and I appreciate every single order. The eye-popping piece of this news release, however, is the growth at NYSE Arca Options and European cash and derivatives trading.
Plus: a little Woody Guthrie for your Wednesday pondering.
Plus: The SEC turns 73; NYSE adds a half-hour to the trading day and drops Saturday trading (back in 1952); and why you should never listen to predictions.